GST: The Second-hand Goods Credit

A GST-registered person who purchases “second-hand goods” in the course of a taxable activity may be able to deduct a proportion of the purchase price as input tax. A deduction may only be made if: The goods are purchased for making taxable supplies; The goods are in New Zealand; The supply is a non-taxable supply,

2019-07-02T16:08:25+00:00July 2nd, 2019|Tax|

Taxing Matters: June/July 2019

A summary of the latest tax and business news and updates. From 1st January 2020, the IRD will require most people who buy and sell properties to supply their IRD numbers on land transfer documentation. Currently, IRD numbers are not required for main home property transfers because in most cases there are no tax obligations

2019-07-03T08:59:00+00:00July 2nd, 2019|Tax|

Non-Deductible Expenses

While many expenses incurred in the course of doing business can be claimed to reduce your income tax, certain expenses are not deductible for tax purposes. These include: Late filing and late payment penalties imposed by the IRD. Costs related to breaking the law, such as speeding tickets or parking fines. Insurance premiums relating to

2019-07-02T10:05:40+00:00July 2nd, 2019|Tax|

Is Sponsorship Tax Deductible?

If your business provides sponsorship to an individual or organisation, it may be tax deductible. Sponsorship is different to ‘advertising’ or ‘donations’. It is defined as when the taxpayer incurring the expenditure expects that his/her business will be promoted in some way, whilst the sponsorship recipient will also be benefited in some way. The IRD’s

2019-06-24T10:08:35+00:00June 24th, 2019|Tax|

Your Final Pay Following Redundancy

It is the employee’s responsibility to check that their final pay following redundancy is taxed correctly. Here we take a look at what should be included, and taken out, of your final pay. If you are in the difficult situation of facing redundancy, there is a fair process your employer must follow which includes exploring

2019-06-18T14:33:34+00:00June 18th, 2019|Tax|

Taxing Matters: May 2019

A summary of the latest tax and business changes, updates and news. The new ACC levy rates have been set. For both of the 2019-2020 and 2020-2021 tax years, the earners’ levy stays at $1.39 (including GST) per $100 liable earnings. For self-employed workers, the minimum liable earnings increases to $36,816 (up from $32,760). As

2019-05-30T14:02:00+00:00May 30th, 2019|Tax|

Paying Tax on Multiple Jobs

Workers all around the world are increasingly favouring short-term jobs, or gigs, in place of more traditional permanent roles. Last year our article “Getting The Gig” looked at the rise of this gig economy and the advantages and disadvantages it provides from both the worker’s and the employer’s perspective. Gig workers who take casual short-term

2019-05-30T09:26:51+00:00May 30th, 2019|Tax|

Holiday Home And Short-Term Rental Taxes

Renting out your home, rental property or holiday home for a short-term period can be a great way to make some extra income when you’re not personally using those properties but don’t want to lock in long-term renters. Airbnb, Bookabach and other online accommodation companies make it extremely easy to list your property as they

2019-05-06T12:05:23+00:00May 6th, 2019|Property Accounting, Tax|

Taxing Matters: March 2019

A summary of the latest tax changes and news relating to individuals and businesses. On 1st April 2019 the minimum wage increases to $17.70 (up from $16.50) for adults and to $14.16 (up from $13.20) for starting out and training wages.   Changes will be made to IRD’s myIR Secure Online Services from 26th April

2019-03-21T09:23:47+00:00March 21st, 2019|Tax|